How effectively are families supported?
The aim of the project is to determine the current contribution of the public sector to covering the costs of childcare and to analyse the fairness of distribution between different types of households. In this way, a possible need for improvement could be precisely identified.
The calculation of the contributions made by the public sector to cover the costs of childcare is based on the concept of "child-induced" transfer payments and a microsimulation model for Austria, which we have also developed.
The Austrian system for supporting households with children is highly differentiated. The interaction between the federal, provincial and municipal levels was analysed more comprehensively than ever before in the study "Analysis of transfer payments to support households with children in Austria" using simulated tax and transfer accounts for thousands of systematically generated household constellations and evaluated at an Austrian level.
The study uses the concept of "child-induced" transfer payments to determine the contributions made by the public sector to cover child-related costs. They reflect the transfer amount that results for households with children compared to childless reference households. The complex interaction of the three levels of government results in a system that has a strong redistributive effect: The lowest income range has its child costs largely covered and receives the highest transfers, after which these fall as income rises.
Part I
The aim of this study is to determine the current contribution of the public sector to covering the costs that arise for children and to analyse the fairness of distribution between different types of households. The aim is to identify any potential need for improvement.
Part II
Follow-up study to update the previous project. The simulation model created in the previous project to analyse transfer payments to support households with children in Austria is updated to reflect the changes to the tax and transfer system that have been made in the meantime and those planned, and the resulting changes are analysed.
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